BOJ's Kuroda considers North Korea to be a major risk to global outlook

BOJ's Kuroda considers North Korea to be a major risk to global outlook

10:37 25.09.2017

As Bank of Japan Governor Haruhiko Kuroda stressed, resuming tensions in North Korea were among major risks to a brightening global economic outlook. He added that the major bank was closely monitoring the impact on financial markets as well as Japan's economy.

He also backed the BOJ's 2% inflation target, labeled by many financial experts as too ambitious, telling that Japan’s major financial institution can help keep long-term currency moves steady by simply setting its price objective at a level equivalent to other key banks.

As with other key financial institutions, the BOJ's first line of defense versus major economic as well as market shocks would be to provide unlimited amounts of liquidity via transactions.

In April-June, Japan's economy managed to expand at an annualized rate of 2.5%, thus demonstrating the longest streak of expansion for 11 years, on firm exports as well as a pick-up in consumption.

On Wednesday, China posted shockingly weaker surge in retail sales as well as industrial output for April, thus increasing pressure on the Chinese cabinet to roll out more stimulus because the trade conflict with America escalates…

In April, American import prices surged less than anticipated in April due to the fact that jumps in the cost of food and petroleum were tamed by the largest tumble in the price of capital goods for a decade, dropping a hint at the fact that inflation…